The company reported higher net income because the year-ago period included a $116.5 million loss tied mainly to the its own investments in its funds.

Shares in Franklin have risen steadily since the summer on enthusiasm for its investments in developing markets, drawing steady inflows from investors.

The inflows continued in the September quarter. The company reported net new flows of cash from investors of $2.9 billion during the period. But that was less than the $4.8 billion added in the three months ended June 30.

Assets under management totaled $749.9 billion at Sept. 30, up from $707.1 billion at June 30.